ExxonMobil Expands Natural Gas Processing Capacity in Piceance Basin

Facilities in place to steadily increase supplies to U.S. markets

Drilling technology, best practices produce more gas more efficiently

HOUSTON--(BUSINESS WIRE)--ExxonMobil Production Company announced today the completion of new
field processing capacity at its Piceance
Project on the western slope of the Rocky Mountains in Rio Blanco
County, Colorado.

The new facilities have the capacity to handle up to 200 million cubic
feet per day of natural gas. They include gas and liquid gathering
systems, treating facilities, a produced-water pipeline and subsurface
disposal system, and a condensate sales and truck-loading site.

ExxonMobil has been producing natural gas in the Piceance Basin for
nearly 50 years and is currently producing about 100 million cubic feet
per day. The company currently is operating seven drilling rigs to
increase its Piceance production.

“A project such as Piceance represents a long-term view of and
commitment to energy development,” says Rich Kruger, ExxonMobil
Production Company president. “The key to unlocking the potential of
this large, technically challenging resource is increasing production
and recovery rates from each well at lower cost. ExxonMobil scientists
and engineers are working hard to improve the enabling technologies and
processes to do just that.”

Natural gas is expected to be the fastest-growing major fuel source,
driven largely by its increased use to generate electricity.
ExxonMobil’s leases in the Piceance Basin hold a potential recoverable
resource of 45 trillion cubic feet of gas. “ExxonMobil is committed to
developing this resource efficiently and with environmental care and
sensitivity,” says Kruger.

Success through ExxonMobil proprietary technology

Natural gas in the Piceance Basin is trapped within rock as dense as
concrete and in discontinuous zones separated by thin layers of shale.
To recover the “tight gas,” ExxonMobil is applying proprietary
technology and best practices.

"Piceance wells completed with our proprietary fracturing technology
produce significantly more than conventionally fractured wells and at
less cost," says ExxonMobil’s Piceance Project Executive Jim Branch. “We
use ExxonMobil’s proprietary Fast Drill process and Multi-zone
Stimulation Technology with Just-in-Time Perforation to access up to 50
gas-bearing zones in one well, which was unheard of just a few years
ago. We can drill up to 9 to 10 wells from a single pad, with less
surface disturbance. Each well can recover gas located across 20 acres
below ground. The cost effective process produces substantially more gas
from the many zones it can tap from each well.”

Water conservation is a priority at the project. ExxonMobil developed a
system that reuses the water recovered from production for other
processes. This reduces fresh water use by about 80 percent.

ExxonMobil conducts extensive plant, wildlife and archaeological surveys
to help manage the environmental performance of the Piceance Basin
operations. The company also participates in studies with local
educational institutions and government agencies to maximize protection
of native wildlife habitats and plant species in the project development
area.

Enterprise Products Partners L.P. constructed new plant and pipeline
facilities at the Piceance project to provide compression, treating and
conditioning services for the produced natural gas, which is delivered
to various pipeline transmission systems that serve the region.

CAUTIONARY STATEMENT: Estimates, expectations, and business plans in
this release are forward-looking statements. Actual future results,
including demand growth, resource recoveries, production rates, project
plans and schedules, and the impact of new technology could differ
materially due to changes in market conditions affecting the oil and gas
industry or long-term oil and gas price levels; political or regulatory
developments; reservoir performance; timely completion of development
projects; technical or operating factors; and other factors discussed
under the heading "Factors Affecting Future Results" in the Investor
Information section of our website (www.exxonmobil.com)
and in Item 1A of our most recent Form 10-K. References to "recoverable
resources" and similar terms include quantities of oil and gas that are
not yet classified as proved reserves but that we believe will be
produced in the future.

Release Versions

ExxonMobil Expands Natural Gas Processing Capacity in Piceance Basin

Facilities in place to steadily increase supplies to U.S. markets

Drilling technology, best practices produce more gas more efficiently

HOUSTON--(BUSINESS WIRE)--ExxonMobil Production Company announced today the completion of new
field processing capacity at its Piceance
Project on the western slope of the Rocky Mountains in Rio Blanco
County, Colorado.

The new facilities have the capacity to handle up to 200 million cubic
feet per day of natural gas. They include gas and liquid gathering
systems, treating facilities, a produced-water pipeline and subsurface
disposal system, and a condensate sales and truck-loading site.

ExxonMobil has been producing natural gas in the Piceance Basin for
nearly 50 years and is currently producing about 100 million cubic feet
per day. The company currently is operating seven drilling rigs to
increase its Piceance production.

“A project such as Piceance represents a long-term view of and
commitment to energy development,” says Rich Kruger, ExxonMobil
Production Company president. “The key to unlocking the potential of
this large, technically challenging resource is increasing production
and recovery rates from each well at lower cost. ExxonMobil scientists
and engineers are working hard to improve the enabling technologies and
processes to do just that.”

Natural gas is expected to be the fastest-growing major fuel source,
driven largely by its increased use to generate electricity.
ExxonMobil’s leases in the Piceance Basin hold a potential recoverable
resource of 45 trillion cubic feet of gas. “ExxonMobil is committed to
developing this resource efficiently and with environmental care and
sensitivity,” says Kruger.

Success through ExxonMobil proprietary technology

Natural gas in the Piceance Basin is trapped within rock as dense as
concrete and in discontinuous zones separated by thin layers of shale.
To recover the “tight gas,” ExxonMobil is applying proprietary
technology and best practices.

"Piceance wells completed with our proprietary fracturing technology
produce significantly more than conventionally fractured wells and at
less cost," says ExxonMobil’s Piceance Project Executive Jim Branch. “We
use ExxonMobil’s proprietary Fast Drill process and Multi-zone
Stimulation Technology with Just-in-Time Perforation to access up to 50
gas-bearing zones in one well, which was unheard of just a few years
ago. We can drill up to 9 to 10 wells from a single pad, with less
surface disturbance. Each well can recover gas located across 20 acres
below ground. The cost effective process produces substantially more gas
from the many zones it can tap from each well.”

Water conservation is a priority at the project. ExxonMobil developed a
system that reuses the water recovered from production for other
processes. This reduces fresh water use by about 80 percent.

ExxonMobil conducts extensive plant, wildlife and archaeological surveys
to help manage the environmental performance of the Piceance Basin
operations. The company also participates in studies with local
educational institutions and government agencies to maximize protection
of native wildlife habitats and plant species in the project development
area.

Enterprise Products Partners L.P. constructed new plant and pipeline
facilities at the Piceance project to provide compression, treating and
conditioning services for the produced natural gas, which is delivered
to various pipeline transmission systems that serve the region.

CAUTIONARY STATEMENT: Estimates, expectations, and business plans in
this release are forward-looking statements. Actual future results,
including demand growth, resource recoveries, production rates, project
plans and schedules, and the impact of new technology could differ
materially due to changes in market conditions affecting the oil and gas
industry or long-term oil and gas price levels; political or regulatory
developments; reservoir performance; timely completion of development
projects; technical or operating factors; and other factors discussed
under the heading "Factors Affecting Future Results" in the Investor
Information section of our website (www.exxonmobil.com)
and in Item 1A of our most recent Form 10-K. References to "recoverable
resources" and similar terms include quantities of oil and gas that are
not yet classified as proved reserves but that we believe will be
produced in the future.